Gueorguiev Quoted in Morning Consult Article on Consumer Confidence in China

February 21, 2022

Morning Consult

Dimitar Gueorguiev

Political Science Department

East Asia Program

South Asia Center

China

Morning Consult

Dimitar Gueorguiev

Despite China's falling house price expectations in December and January, consumer confidence stabilized after authorities took rapid action to increase credit access and encouraged bad-asset management firms to buy up bad loans and unfinished housing projects. While the policy kicked the can down the road when it comes to weaning China’s economy off cheap credit, Beijing achieved the crucial goal of short-term stability, says Dimitar Gueorguiev, associate professor of political science.

Gueorguiev says the fiscal loosening was clearly aimed at “allaying widespread anxiety going into the Chinese New Year holiday and setting a more pragmatic tone for the upcoming legislative sessions,” which will lay the groundwork for the 20th Communist Party Congress, the premier event on Beijing’s political calendar this year. Read more in the Morning Consult article, "China Threads the Needle of a Financial Crisis, but Evergrande Woes Are Not in the Rearview Mirror Yet."